Wednesday, August 16, 2017

15 Financial Tips for Preparing to Have a Baby: Part 1

You have just received some of the biggest news of your life, you are having a baby! Congratulations. Your family is growing and you couldn't be happier. Preparing for parenthood can be very exciting, but it's more than just cute baby shoes and clothes. First Bank of the Lake is here to give you some need-to-know financial steps when preparing for a baby. In this blog series, your bank at the Lake of the Ozarks is going to break down the financial preparation process to pre-delivery, while in the hospital, within the baby's first 30 days, and beyond the first month. 

Pre- Delivery Financial Planning

1. Understand what your health insurance covers and know what your costs will be.

Having a baby can be quite expensive, even for people who have health insurance. Know what your pregnancy is going to cost early on. 

2. Financially plan for maternity & paternity leave.

Every company is different and it's important to know what your company's policy is on maternity and paternity leave early on. Your household income can be greatly affected by how much time you get off and whether or not you are paid during this period.

3. Draft the pre-baby budget.

Now that you know what your out of pocket costs will be, start making a list of all of the supplies you will need to buy for your new bundle of joy. Shop smart too. Consider buying used items vs. new to keep your spending under control. Babies come with many expenses, so just keep this in mind.

4. Plan the post delivery budget.

It's best to just accept that your household expenses are going to change now for many years to come. Plan for the recurring costs, such as diapers, the extra food now that you will have a baby, and child care, now. This could make your life much easier in the long run.

5. Pick a pediatrician within your insurance network.

Your baby's first doctor appointment should occur within the first week of his or her life. Talk to your friends and family for recommendations on a pediatrician now. Just be sure when searching for the right doctor for your baby, that you check to see he or she is within your insurance network. Call your insurance company to verify so you're not hit with unexpected out-of-network charges to verify.

6. If you haven't already, start an emergency fund.

If you don't already have an emergency fund set up, now is the time! We recommend you try to have at least 3 to 6 months of living expenses covered. Kids are accident prone and you never know what can happen, so it's best to try and prepare for the unexpected now.

Your bank at the Lake of the Ozarks wishes you the best of luck with your new bundle of joy. Stay tuned next week, First Bank of the Lake will be presenting part 2 of the blog series 15 Financial Tips for Preparing to Have a Baby. We will be starting with expenses to prepare for while in the hospital.

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First Bank of the Lake - Striving For Excellence
Member FDIC. Equal Housing Lender.

Located at the entrance to the Osage Beach Premium Outlets!

4558 Osage Beach Parkway

Suite 100
Osage Beach, MO 65065

(573) 348-2265

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